Energy stocks at risk from power rejig

PTT, PTG Energy (PTG), B.Grimm Power (BGRIM) and Global Power Synergy (GPSC) are the most at risk of decline from the new government’s pledge to cut electricity tariffs and retain diesel prices, according to Maybank Securities.

The brokerage assesses it is highly likely the new administration will deliver on its commitment to lower power tariffs and control fuel prices. Large energy and utility companies on the Stock Exchange of Thailand (SET) have downside risks in terms of share prices, said Maybank.

“Our research department anticipates PTT, PTG, BGRIM and GPSC have the highest downside risks. In our view, the energy policy of the new government could affect PTT’s earnings estimates by 20%, while it…